Download Your guide to investing for retirement with Fidelity Freedom® Index

Fidelity Freedom® Index Funds — Class W
Your guide to investing
for retirement with Fidelity
Freedom Index Funds — Class W.
®
An all-in-one approach for simple investing.
You may already know how important your workplace savings can
be to your long-term financial success. The next crucial factor is the
investments you choose. And with Fidelity Freedom® Index Funds,
investing may be easier than you think.
Fidelity Freedom® Index Funds — Class W offer a single-fund approach to choosing and
managing workplace savings plan investments. In fact, it couldn’t be simpler. All you need
to know is the year you plan to retire.
• A lifetime retirement investment approach in a single fund
•A
diversified portfolio that balances risk and potential reward over time
• Ongoing professional management
Fidelity Freedom Index Funds — Class W.
One decision. Many possible advantages.
®
Fidelity Freedom® Index Funds — Class W focus on improving your
potential for long-term returns while limiting your investment risk.
They offer you the benefits of:
• Ease and simplicity.
Your choice of a Freedom Index Fund
automatically gives you an investment mix
that’s targeted to the retirement year of the
fund you choose.
• Confidence over time.
A team of experienced Fidelity Investments
professionals continually manages each
Freedom Index Fund to gradually become
more conservative as it approaches its target
retirement year and beyond.
• A disciplined approach to investing.
Freedom Index Funds — Class W are an easy
way to help ensure that you’re investing
responsibly. You pick a fund based on the
approximate year you plan to retire. And you
get a target retirement-date investment mix of
stocks, bonds, and short-term investments that’s
adjusted by professional fund managers to
become more conservative over time — making
it easy to stay on track to help reach your future
financial goals.*
Considering retirement?
Already in retirement?
The Fidelity Freedom® Index 2010 Fund —
Class W, Fidelity Freedom® Index 2005
Fund — Class W, Fidelity Freedom®
Index 2000 Fund — Class W, or Fidelity
Freedom® Index Income Fund — Class W
may be an appropriate investment to help
you achieve your retirement goals.
For more details or to enroll in Fidelity Freedom® Index Funds—Class W,
visit Fidelity NetBenefits ® or call your plan’s toll-free number.
*Assuming a retirement age of 65. You may choose a retirement age and date earlier or later than age 65 depending on your own situation.
H o w F r e e d o m i n d e x fu n d s w o rk :
Age-based asset mix
The name of each fund refers to the year closest to the year in which a participant is planning to retire. Each fund’s
investment mix is designed assuming retirement at age 65. However, you may consider a fund with a different target date,
based on your financial goals.
It’s important to keep in mind that the Fidelity Freedom® Index Funds — Class W, with the exception of the Freedom
Index Income Fund — Class W, are designed to become more conservative as they near their target retirement date
and beyond. Ultimately, they’re expected to merge with the Freedom Index Income Fund — Class W. However, like all
investments, they involve risk, and principal in the funds is not guaranteed at any time, including at or after the funds’
target date. It is possible to lose money by investing in these funds.
Fidelity Freedom® Index
Income
Income
Income
Income
Income
Income
Income Fund — Class
W
Income
Income
Income
Income
Income
Income
Income
Fidelity Freedom® Index
2000 W
2000
2000
2000 2000
20002000
Fund — Class
2005
2005 2005
2005
2005
2005
2005
2000
2000 2000
2000
2000
2000
2000
15%
15%
15%
15%
15% 15%
15%
15% 5%
15%
15%
15%
15%
5%
5%
5%5%
15% 5%
5%
5% 5%5%
5%
5% 40%
40%
40%
40%
40%
40%
40% 40%
5%
40%
40%
40%
40% 40%
40%
40%
40%
40%
40%
40%
40%
40%
40%
40% 40%
40%
40% 40%
40%
40%
40%
40%
Fidelity Freedom® Index
2025 Fund — Class W
Fidelity Freedom® Index
2005
2005
2005
2005
2005
2005
2005
Fund — Class
W
1%
1%
1%
1% 1%1%
1%
1% 1%1%
1%
1%
1%
31%
31%
31%
31%
31% 31%
31%
31% 31%
31%
31%
31%
50%
50%
50%
50%
50% 50%
31%
50%
50% 50%
50%
50%
50%
50%
18%
18%
18%
18%
18% 18%
18%
18% 18%
18%
18%
18%
18%
2025
2025
2025
2025 2025
®2025
Fidelity Freedom
Index
2025
2025 2025
2025
2025
2025
2025
2055 Fund — Class
W
10%
10%
10%
10%
10% 10%
10%
10% 10%
10%
10%
10%
10%
24%
24%
24%
24%
24% 24%
24%
24% 24%
24%
24%
24%
24%
66%
66%
66%
66%
66% 66%
66%
66% 66%
66%
66%
66%
66%
Fidelity Freedom® Index
2035 Fund — Class W
18%
18%
18%
18%
18% 18%
29%
29%
29%
29%
29% 29%
18%
18% 18%
18%
18%
18%
29%
29% 29%
29%
29%
29%
18%
29%
52%
52%
52%
52%
52% 52%
22%
22%
22%
22% 22%
52%
52% 52%
60%
60%
60%
60%
52%
52%
52% 22%
60% 60%
22%
22% 22%
22%
22%
22%
52%
60%
60% 60%
60%
60%
60%
19%
19%
19%
19%
19% 19%
22%
60%
19%
19% 19%
19%
19%
19%
19%
2030
2030
2030
2030
2030 2030
2030
2030 2030
2030
2030
2030
2030
Domestic Equity Funds
2035
2035
2035
2035
2035 2035
2035
2035 2035
2035
2035
2035
2035
Fidelity Freedom® Index
2015
2015
2015
2015
2015 Fund — Class
2015
2015
W
2010
2010 2010
2010
2010
2010
2010
2015
2015 2015
2015
2015
2015
2015
10%
10%
10%
10%
10% 10%
10%
10% 10%
10%
10%
10%
10%
37%
37%
37%
37%
37% 37%
37%
37% 37%
37%
37%
37%
37%
40%
40%
40%
40%
40% 40%
40%
40% 40%
40%
40%
40%
40% 13%
13%
13%
13%
13% 13%
13%
13% 13%
13%
13%
13%
13%
12%
12%
12%
12%
12% 12%
12%
12% 12%
12%
12%
12%
12% 36%
36%
36%
36%
36% 36%
36%
36% 36%
36%
36%
36%
36%
39%
39%
39%
39%
39% 39%
39%
39% 39%
39%
39%
39%
13%
13%
13%
13%
39%
13% 13%
13%
13% 13%
13%
13%
13%
13%
15%
15%
15%
15%
15% 15%
15%
15% 15%
15%
15%
15%
29% 27%
29%
29%
29% 29%
5% 29%
5%
5% 5%5%
27%
15%5%
27%
27%
27%
27%
29%
29% 29%
29%
29%
29% 27%
5%
5% 5%5%
5%
5% 29%
27%
27%
40%
40%
40%
27%
27%
27%
40%
5%
27%
40%
40%
40%
40%
10%
10%
10%
10%
10% 10%
10%
10%
10%
10%
10%
40%
35% 10%
40%
40%
40%
35%
35%
35%
40% 40%
35% 35%
10%
40%
35%
40% 40%
35% 35%
40%
40%
40%
35%
35%
35%
40%
35%
Fidelity Freedom® Index
2030 Fund — Class W
Fidelity Freedom® Index
2010
2010
2010
2010
2010Fund — Class
2010
2010
W
Fidelity Freedom® Index
2040 Fund — Class W
17%
17%
17%
17%
17% 17%
17%
17% 17%
17%
17%
17%
17%
22%
22%
22%
22%
22% 22%
61%
61%
61%
61%
61% 61%
22%
22% 22%
22%
22%
22%
61%
61% 61%
61%
61%
61%
22%
61%
2040
2040
2040
2040
2040 2040
2040
2040 2040
2040
2040
2040
2040
International Equity Funds
41%
41%
41%
41%
41% 41%
38%
38%
38%
38%
38% 38%
41%
41% 41%
41%
41%
41%
38%
38% 38%
38%
38%
38%
41%
38%
15%
15%
15%
15%
15% 15%
15%
15% 15%
15%
15%
15%
15%
Fidelity Freedom® Index
2045 Fund — Class W
15%
15%
15%
15%
15% 15%
15%
15% 15%
15%
15%
15%
15%
23%
23%
23%
23%
23% 23%
62%
62%
62%
62%
62% 62%
23%
23% 23%
23%
23%
23%
62%
62% 62%
23%
62%
62%
62%
62%
2045
2045
2045
2045
2045 2045
2045
2045 2045
2045
2045
2045
2045
Bond Funds
Fidelity Freedom® Index
2020
2020
2020
2020
2020 2020
2020
Fund — Class
W
2020
2020 2020
2020
2020
2020
2020
6%
6%
6%
6% 6%6%
6%
6% 6%6%
6%
6%
6%
Fidelity Freedom® Index
2050 Fund — Class W
14%
14%
14%
14%
14% 14%
14%
14% 14%
14%
14%
14%
14%
23%
23%
23%
23%
23% 23%
63%
63%
63%
63%
63% 63%
23%
23% 23%
23%
23%
23%
23%
63%
63% 63%
63%
63%
63%
63%
2050
2050
2050
2050
2050 2050
2050
2050 2050
2050
2050
2050
2050
Short-Term Funds
The percentages represent anticipated target asset allocation at 9/30/2012. Target asset allocations may appear equal due to
rounding. Allocation percentages may not add up to 100% due to rounding and/or cash balances. Strategic Advisers, Inc., a
subsidiary of FMR LLC, manages the Fidelity Freedom® Index Funds — Class W.
2055
2055
2055
2055
2055 2055
2055
2055 2055
2055
2055
2055
2055
Underlying investments 1
The Fidelity Freedom® Index Funds — Class W are diversified in that they are made up of a group of underlying Fidelity
index funds with different asset classes, market capitalizations, and international regions. Neither diversification nor asset
allocation ensures a profit or guarantees against loss.
Type of Investments Held
in Fidelity Freedom® Index Funds — Class W
More conservative
More aggressive
Short Term
Bond
Fidelity Institutional
Money Market Portfolio Class F
Fidelity Series
Inflation-Protected Bond
Index Fund Class F*
Spartan® U.S. Bond
Index Fund Class F
Domestic Equity
International Equity
Commodity Fund
Fidelity Series Global
ex U.S. Index Fund*
Fidelity Series Commodity
Strategy Fund Class F*
Large Blend
Spartan® Total Market
Index Fund Class F
An investment in a money market fund is not insured or guaranteed by the FDIC or any other government agency. Although money
market funds seek to preserve the value of your investment at $1 per share, it is possible to lose money by investing in these funds.
*This fund is not directly available to individual investors or retirement plans.
In general, the bond market is volatile and bond funds entail interest rate risk (as interest rates rise, bond prices usually fall, and vice versa). This effect is usually more
pronounced for longer-term securities. Bond funds also entail the risk of issuer default, issuer credit risk, and inflation risk. The fund may invest in lower-quality debt
securities, which generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer.
Foreign investments, especially those in emerging markets, involve greater risk and may offer greater potential returns than U.S. investments. This risk includes
political and economic uncertainties of foreign countries, as well as the risk of currency fluctuation.
H o w F r e e d o m i n d e x fu n d s w o rk :
A gradual shift from more aggressive to more conservative
Target asset allocation over time
The Fidelity Freedom® Index Funds — Class W follow a “glide path,” which is illustrated below. This glide path shows the
funds’ anticipated exposure to equity, bond, and short-term funds over time. The glide path strategy strives to balance
investment returns and risks while seeking to help meet retirement income objectives.
As shown here, the risk slowly moves to a more conservative investment approach. The key here is that instead of the
quick drop, there is a slow “glide path.” So what does this mean to you? The allocation changes will typically happen
over several years versus short-term changes, so the fund managers have time to make strategic investment decisions.
Feature: Glide path asset allocation
Benefit: Helps manage downside risk
Target Date
2055
2050
2045
2040
2035
2030
2025
2020
2015
2010
2005
2000 Income
100%
Percentage Weighting
80%
60%
40%
20%
0%
45
40
35
30
25
20
15
10
Years to Retirement
Domestic Equity Funds
5
0
–5
–10
–15
–20
–25
Retirement Years
International Equity Funds
Bond Funds
Short-Term Funds
Source: FMR Co. This chart illustrates the Freedom Index Funds’ target asset allocations among domestic equity funds, international equity funds,
bond funds, and short-term funds. The chart also illustrates how these allocations may change over time. The Freedom Index Fund future target asset
allocations may differ from this approximate illustration. Once the target date is met, each Freedom Index Fund continues becoming more conservative
for 10 to 15 years, until the asset mix is approximately the same as the Freedom Index Income Fund. Ultimately, the funds will merge. Chart is as of
May 30, 2012..
1
Investment options identified on the previous page are as of June 2012 and are listed in alphabetical order within each investment category. Risk
associated with the investment options can vary significantly within each particular investment category, and the relative risk of categories may change
under certain economic conditions. For a more complete discussion of risk associated with the mutual fund options, please read the prospectuses
before making your investment decisions. The chart does not represent actual or implied performance.
These funds are subject to the volatility of the financial markets in the U.S. and abroad, and may be subject to the
additional risks associated with investing in high-yield, small-cap, and foreign securities.
H o w F r e e d o m i n d e x fu n d s w o rk :
Managed according to retirement date
closer to retirement fu r t h e r F ROM r e t i r e m e n t
cynthia
age: 55
roger
age: 71
l a rr y
age: 46
a ly s o n
age: 30
STEVE
age: 22
your current age
80+
yrs.
75–79
yrs.
70–74
yrs.
65–69
yrs.
60–64
yrs.
55–59
yrs.
50–54
yrs.
45–49
yrs.
40–44
yrs.
35–39
yrs.
30–34
yrs.
25–29
yrs.
Up to
24 yrs.
2010
2015
2020
2025
2030
2035
2040
2045
2050
2055
Freedom Index fund
Income
Fund
2000
2005
Your plan’s chosen date ranges for each fund may differ. These hypothetical examples are for illustrative purposes only. The age and Freedom Index
Fund — Class W matchups assume retirement at age 65 and are calculated for the 2012 calendar year.
Your age helps decide the fund that may be right for you.
To select the appropriate Freedom Index
Fund — Class W, simply find your age range
in the chart above.
Whether you’re considering retirement before or
after age 65, simply find your age range and shift
left or right on the chart to choose a Freedom Index
Fund — Class W that most closely matches the year
you plan to retire. The five examples illustrate the
choices some people might make based on their
current age and a retirement age of 65.
Professional managers adjust each fund’s mix
of stocks, bonds, and short-term investments to
become more conservative over time. Fidelity
Freedom® Index Funds — Class W are designed
for investors expecting to retire around the year
indicated in each fund’s name. Except for the
Freedom Index Income Fund — Class W, each
fund’s asset allocation approach becomes increasingly conservative as it approaches the target date
and beyond. The portfolio managers continue to
Turn this flap for more about how Freedom Index Funds work.
manage the funds’ asset allocation even after the
retirement date. Ultimately, the funds are expected
to merge with the Freedom Index Income Fund — Class W.
Keep in mind that Freedom Index Funds — Class
W are subject to the volatility of the financial
markets in the United States and abroad, and
may be subject to the additional risks associated
with investing in high-yield, small-cap, and foreign
securities. Remember that neither diversification
nor asset allocation ensures a profit or guarantees
against loss. Like all investments, the Fidelity
Freedom® Index Funds — Class W involve risk, and
principal in the funds is not guaranteed at any time,
including at or after the funds’ target date. It is
possible to lose money by investing in these funds.
Before investing in any investment option, please carefully consider the investment objectives, risks, charges, and expenses.
For this and other information, call or write to Fidelity for a free prospectus or, if available, a summary prospectus. Read it
carefully before you invest.
Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or
lose money.
It is your responsibility to select and monitor your investments to make sure they continue to reflect your financial situation, risk tolerance, and time horizon.
Most investment professionals suggest that you reexamine your investment approach at least annually or when your situation changes. In addition, you may
want to consult an investment advisor regarding your specific situation.
Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917
579773.3.0 1.924167.102